Point-of-Sale Terminal Market By Product (Fixed, Mobile), By Component (Hardware, Software, Services), By Deployment (Cloud, On-premise), By End-use (Restaurants, Retail, Hospitality, Healthcare, Warehouse, Entertainment, Others) and By Region (North America, Latin America, Asia Pacific, Europe, and Middle East & Africa), and COVID-19 Analysis – Global Forecast 2024 to 2032

Market Analysis and Insights: 

The market for Point-of-Sale Terminal was estimated to be worth USD 29.34 billion in 2023, and from 2024 to 2032, it is anticipated to grow at a CAGR of 16.12%, with an expected value of USD 111.12 billion in 2032. 

The Point-of-Sale Terminal (POS) industry is experiencing notable growth driven by various key factors. Firstly, the surge in the adoption of digital payment systems and the preference for efficient payment processing solutions are catalyzing the demand for POS terminals. The expanding retail sector, particularly the e-commerce domain, is also propelling the necessity for advanced POS technologies to elevate customer experience and streamline operational processes. Additionally, the rising preference for contactless payment methods due to the sanitation requirements brought about by the COVID-19 pandemic is further fueling the POS terminal market. Integration of value-added services encompassing inventory management, customer relationship management, and business analytics into POS systems is another significant contributor to their market advancement. The increasing inclination towards cloud-based POS solutions and the transition of smartphones and tablets into viable POS devices are augmenting market reach and accessibility. Anticipated technological advancements including the integration of blockchain, artificial intelligence (AI), and the Internet of Things (IoT) are expected to drive substantial growth in the POS terminal market in the foreseeable future. Nonetheless, concerns around the initial investment outlay and data security issues may moderately impede market expansion. Overall, the POS terminal market is on a trajectory of substantial growth fueled by the escalating demand for secure and convenient payment options, particularly within the retail and e-commerce realms. 

Point-of-Sale Terminal Market Scope :

Market Definition 

A point-of-sale terminal, also known as a POS terminal, serves as a crucial hardware tool employed by retailers for handling customer transactions during the point of purchase. This integral equipment usually comprises a computer system, a cash register, along with specialized software that facilitates functions such as product scanning, payment processing, and receipt issuance. 

The Point-of-Sale (POS) Terminal is an essential tool for businesses. It simplifies the sales process, boosts efficiency, and ensures precise record-keeping. These terminals enable fast and secure transactions, permitting businesses to accept various payment methods like credit cards, debit cards, and digital wallets. Furthermore, the POS terminal incorporates inventory management software to allow real-time monitoring of stock levels, minimizing errors, and preventing stockouts. Moreover, it produces in-depth reports that offer insights into sales patterns, customer preferences, and revenue analysis. This assists businesses in making informed decisions and planning for growth. Ultimately, the POS terminal is pivotal in driving sales, providing excellent customer service, and enhancing overall business performance. 

Key Market Segmentation: 

Insights On Key Product 

Mobile 

The part of "Mobile" is expected to dominate the Global Point-of-Sale Terminal Market. With the increasing adoption of smartphones and tablets, mobile point-of-sale (mPOS) terminals are becoming more popular among businesses globally. The convenience and portability offered by mobile devices have made them a preferable choice for small and medium-sized enterprises, as well as for businesses that require on-the-go payments. Furthermore, the integration of additional features such as inventory management and customer relationship management, coupled with advancements in mobile payment technologies, is driving the demand for mobile point-of-sale terminals. Consequently, it is anticipated that the "Mobile" segment will dominate the Global Point-of-Sale Terminal Market. 

Fixed 

The part of "Fixed" is also significant in the Global Point-of-Sale Terminal Market; however, it is expected to be overshadowed by the dominance of the "Mobile" part. Fixed point-of-sale terminals are typically found in traditional brick-and-mortar stores, where a physical counter is designated for payment transactions. Although fixed terminals offer benefits such as robustness, reliability, and advanced features for large-scale retail operations, their market share is expected to be impacted by the increasing popularity of mobile point-of-sale solutions. The evolving consumer preferences and the growing need for mobility in payment processing are likely to limit the growth potential of the "Fixed" part in the Global Point-of-Sale Terminal Market. 

Insights On Key Component 

Software 

The dominance of software in the Global Point-of-Sale Terminal market is driven by the growing adoption of cloud-based and mobile solutions in the retail industry. With businesses increasingly embracing digital transformation, there is a rising demand for software solutions offering advanced features like inventory management, customer relationship management, and analytics. Moreover, the flexibility and scalability provided by software-based Point-of-Sale (POS) systems attract retailers of all sizes, enabling them to enhance their overall operations and customer experience. With continuous technological advancements and the integration of innovative features like AI and machine learning, software-based solutions are likely to maintain their dominance in the Global Point-of-Sale Terminal market. 

Hardware 

While software dominates the Point-of-Sale Terminal market, hardware remains a crucial component in the POS ecosystem. Hardware includes devices such as barcode scanners, cash drawers, receipt printers, and terminals. Although software-based solutions are gaining popularity, the need for reliable and efficient hardware components persists. Retailers require sturdy and durable devices to handle daily transactions and withstand the rigors of the retail environment. Additionally, continual advancements in hardware technology, including the integration of contactless payment options and biometric authentication, are driving innovation and increasing demand for upgraded hardware components. Thus, while software dominates the market, hardware components remain an essential aspect of the Point-of-Sale Terminal industry. 

Services 

Services play a significant role in supporting and complementing the utilization of Point-of-Sale terminals. They encompass various activities, including deployment, installation, training, maintenance, and support services. Although software and hardware are the primary drivers of the Point-of-Sale Terminal market, services ensure the seamless operation and effective utilization of these components. Service providers offer expertise in system integration, troubleshooting, and updating POS systems to meet the evolving needs of retailers. Moreover, the increasing complexity of software and hardware necessitates professional services to ensure smooth implementation and operation. As the demand for software and hardware components grow, so does the requirement for comprehensive services that cater to the specific needs of retailers. Hence, services remain a vital part within the Point-of-Sale Terminal market. 

Insights On Key Deployment 

Cloud 

The dominance of the cloud deployment segment in the Global Point-of-Sale Terminal Market is anticipated for several reasons. Firstly, cloud-based solutions provide ened flexibility and scalability, enabling businesses to adjust their operations seamlessly as required. Moreover, such systems typically entail lower initial costs compared to on-premise alternatives, rendering them more attainable for small and medium-sized enterprises. Additionally, cloud-based Point-of-Sale systems furnish real-time data and analytics, empowering businesses to make informed, data-driven decisions and enhance operational efficiency. These factors contribute to the growing adoption of cloud deployment in the Point-of-Sale Terminal Market, making it the dominating part. 

On-premise 

Although the cloud deployment segment is anticipated to dominate the Global Point-of-Sale Terminal Market, the on-premise part remains significant. On-premise solutions are preferred by larger enterprises that have specific security and customization needs. These organizations often require complete control over their systems and data, which on-premise deployment offers. Additionally, some industries, such as healthcare and government, have stricter regulations and compliance requirements, making the on-premise deployment a preferable option. Although the on-premise part is not expected to dominate the market, it will continue to cater to specific industries and businesses that prioritize control and compliance. 

Insights On Key End-use 

Retail 

The part that is expected to dominate the Global Point-of-Sale Terminal Market is Retail. With the rise in e-commerce and an increasing number of physical stores adopting point-of-sale terminals, the retail industry has become a key driver for the market. These terminals not only facilitate seamless transactions but also provide features like inventory management, customer loyalty programs, and analytics, which help retailers enhance their operations and customer experience. As a result, the retail sector's demand for point-of-sale terminals is projected to continue growing significantly in the foreseeable future. 

Restaurants 

While the Retail segment is expected to dominate the Global Point-of-Sale Terminal Market, the Restaurants part is also anticipated to have a strong presence. Point-of-sale terminals play a crucial role in streamlining order taking, payment processing, and inventory management in restaurants. By offering features like table-side ordering, menu customization, and integration with kitchen systems, these terminals enhance efficiency and improve customer service in the restaurant industry. Indeed, the adoption of point-of-sale terminals in restaurants is expected to witness substantial growth in the market. 

Hospitality 

Hospitality is another part of the By End-use category with significant potential in the Global Point-of-Sale Terminal Market. In the hospitality industry, point-of-sale terminals are utilized in hotels, resorts, and other accommodation facilities to manage guest payments, automate check-ins and check-outs, and monitor sales and inventory. These terminals integrate with property management systems and enable seamless communication between various departments. As the hospitality sector continues to evolve and focus on providing exceptional guest experiences, the demand for point-of-sale terminals is expected to increase. 

Healthcare 

In the Global Point-of-Sale Terminal Market, the Healthcare part is poised for steady growth. Point-of-sale terminals are utilized in various healthcare settings such as hospitals, clinics, and pharmacies to process payments for medical services, prescriptions, and health products. These terminals offer secure payment processing, insurance verification, and electronic record-keeping capabilities, making them an essential tool in the healthcare sector. The rising adoption of point-of-sale terminals in healthcare organizations aligns with the industry's broader trend towards digitization and streamlined operations. 

Warehouse 

While the retail sector remains a major driver of the global point-of-sale terminal market, the warehouse segment is also significant, particularly with the increasing adoption of advanced inventory management systems and the need for efficient order processing and tracking in distribution centers. Point-of-sale terminals are utilized in warehouse environments to facilitate order picking, inventory management, and shipping operations. These terminals streamline the workflow and enable real-time tracking of inventory, reducing errors and improving overall efficiency. As the e-commerce industry experiences continuous growth, the demand for point-of-sale terminals in warehouse settings is expected to rise. 

Entertainment 

Although Retail is the dominant part in the Global Point-of-Sale Terminal Market, the Entertainment sector also presents significant opportunities. Point-of-sale terminals are used in various entertainment venues such as cinemas, amusement parks, and sports stadiums to process ticket sales, concession purchases, and merchandise transactions. These terminals not only facilitate seamless and secure transactions for ticket sales, concessions, and merchandise but also enable businesses to gather valuable customer data for personalized marketing and enhanced customer experience. 
Insights on Regional Analysis: 

Europe 

Europe's dominance in the Global Point-of-Sale Terminal (POS) market is indeed notable, largely attributed to its well-established retail industry and high adoption rate of advanced technology. These factors create a conducive environment for the growth of the POS terminal market in the region. Europe also has a large number of small and medium-sized businesses (SMBs), and these businesses are increasingly embracing POS solutions to enhance operational efficiency and customer experience. Additionally, government initiatives aimed at promoting cashless transactions, coupled with the growing popularity of contactless payment methods, particularly in countries such as the United Kingdom, Germany, and France, are significant drivers of the demand for POS terminals in Europe. These factors contribute to the region's dynamic POS terminal market landscape. The region's strong economic presence and technological advancements make it a dominant player in the Global POS Terminal market. 

North America: 

North America is a prominent market for POS terminals, particularly in the United States. The region boasts a mature retail sector, technological advancements, and a high penetration of cashless payment methods. The increasing adoption of cloud-based and mobile POS solutions, coupled with the rising demand for personalized shopping experiences, is indeed propelling the growth of the POS terminal market in North America. This region's dynamic retail landscape, coupled with technological advancements, positions it as a key player in the global POS terminal market. 

Asia Pacific: 

The Asia Pacific region, fueled by the rapid economic development and technological advancements in countries like China, India, and Japan, is indeed experiencing significant growth in the POS terminal market. As these economies witness a surge in retail and hospitality sectors, there's a ened demand for efficient payment solutions, thus driving the adoption of POS terminals in the region. The region's expanding retail industry, rising disposable income, and the increasing adoption of smartphones are key factors contributing to the demand for POS terminals. As the region continues to modernize its infrastructure, the demand for advanced payment solutions is expected to further drive the growth of the POS terminal market in Asia Pacific. 

Latin America: 

Latin America is indeed witnessing steady growth in the POS terminal market, with countries like Brazil and Mexico leading the charge. Several factors contribute to this growth, including government initiatives aimed at promoting digital payments, the expanding e-commerce sector, and the rising number of small and medium-sized businesses. As the region embraces digital transformation and shifts towards cashless transactions, the demand for POS terminals continues to rise, driving market growth. 

Middle East & Africa: 

The Middle East & Africa region is experiencing growth in the POS terminal market. The expansion of the retail industry, driven by factors such as increasing consumer spending and urbanization, contributes significantly to this growth. Additionally, the adoption of advanced payment technologies, including POS terminals, is on the rise, fueled by the region's efforts to modernize payment systems and enhance customer experiences. The flourishing tourism industry also plays a role in driving the demand for POS terminals, as businesses seek efficient and secure payment solutions to cater to international visitors. As countries in the region focus on improving their payment infrastructure and reducing cash transactions, the demand for POS terminals is expected to grow. Overall, while Europe is expected to dominate the Global Point-of-Sale Terminal market, each region has its own unique growth drivers and opportunities, thus contributing to the overall market expansion. 

Company Profiles: 

The primary stakeholders in the worldwide Point-of-Sale Terminal industry significantly influence the progress of technology and creativity, while crafting customized solutions to address the changing requirements of businesses and customers. Moreover, they foster market expansion through the utilization of their broad distribution channels and the formation of robust collaborations within the sector. 

Prominent participants in the Point-of-Sale Terminal Market comprise Ingenico Group, Verifone Systems, PAX Technology, NCR Corporation, Toshiba Corporation, BBPOS Limited, Cegid Group, Diebold Nixdorf, Elavon Inc., First Data Corporation, Fujian Newland Payment Technology, and Panasonic Corporation. These organizations are actively involved in the innovation and production of diverse point-of-sale terminals and associated solutions tailored for various sectors like retail, hospitality, healthcare, and entertainment. Their roles are pivotal in advancing and popularizing cutting-edge technologies in the point-of-sale landscape, including contactless payments, mobile wallets, and cloud-based solutions. Moreover, these major players persistently seek to optimize the security, effectiveness, and overall user experience of point-of-sale systems to ensure smooth transactions and efficient operations for businesses on a global scale. 

COVID-19 Impact and Market Status: 

The global point-of-sale terminal market has experienced a notable downturn in growth as a result of the Covid-19 pandemic, which has caused decreased consumer expenditures and disruptions in supply chains. 

The global point-of-sale (POS) terminal market has been significantly influenced by the outbreak of COVID-19. The implementation of widespread lockdowns and restrictions on physical retail establishments due to the pandemic has led to a notable reduction in the demand for POS terminals. Numerous businesses were compelled to scale back their operations or temporarily close down, resulting in a decline in transaction volumes and a lesser requirement for POS solutions. Furthermore, the shift in consumer behavior towards online shopping has caused a decrease in in-store purchases that typically necessitate the use of POS terminals. Nevertheless, the pandemic has expedited the adoption of contactless payment methods, as customers seek to minimize physical contact. This has spurred a ened interest in NFC-enabled POS terminals to facilitate contactless payments.

Despite the predominantly adverse impact of COVID-19 on the POS terminal market, the increasing demand for contactless transactions offers companies the opportunity to adapt to evolving consumer preferences and enhance their product offerings through innovation. 

Latest Trends and Innovation: 

- In October 2021, Square announced its acquisition of Afterpay, a leading buy-now-pay-later platform, for $29 billion, expanding their presence in the Point-of-Sale Terminal Market. 

- In March 2021, Verifone, a prominent payment solutions provider, launched a new range of touchless payment solutions, allowing customers to make transactions without physical contact. 

- In January 2021, Ingenico Group, a global leader in payment technology, rebranded itself as Worldline after completing its acquisition of the company. 

- In September 2020, PayPal announced its entrance into the Point-of-Sale Terminal Market with the launch of PayPal Zettle, offering hardware and software solutions for small businesses. 

- In July 2020, NCR Corporation, a leading provider of retail solutions, acquired Cardtronics, a global ATM operator, to enhance its offerings in the financial services and retail sectors. 

- In March 2020, Toshiba Global Commerce Solutions partnered with JCB Co., Ltd. to introduce contactless payment solutions integrated with customer loyalty programs for retailers. 

- In January 2020, PAX Technology, a major provider of electronic payment solutions, launched the A80, the world's first Android POS terminal equipped with a dual-screen design. 

Significant Growth Factors: 

The growth drivers propelling the Point-of-Sale Terminal Market comprise the escalating integration of digital payment technologies, surging need for streamlined transaction execution, and the flourishing retail sector. 

The Point-of-Sale (POS) terminal industry has experienced significant advancement, primarily attributable to various factors. Notably, the surge in digital payment solutions has been a key driver behind the increasing demand for POS terminals. The pervasive shift towards cashless transactions, coupled with the convenience and ened security features provided by POS terminals, has spurred their adoption across a broad spectrum of sectors including retail, hospitality, and healthcare. Furthermore, the introduction of cutting-edge technologies like Near Field Communication (NFC) and EMV (Europay, Mastercard, and Visa) chip-based cards has further accelerated the market growth by enhancing transaction security through data encryption, thereby addressing concerns related to fraudulent activities and data breaches. The incorporation of innovative functionalities such as inventory management, customer relationship management, and analytics capabilities within POS terminals has also played a pivotal role in propelling market expansion. Additionally, the burgeoning e-commerce landscape and the surging number of small and medium-sized enterprises (SMEs) have fueled the demand for cost-effective and user-friendly POS solutions, thus further amplifying market growth. Looking ahead, the POS terminal industry is poised for sustained growth, driven by ongoing technological advancements, the pervasive adoption of digital payments, and the continuous expansion of the retail and hospitality sectors. 

Restraining Factors: 

Challenges encountered in the Point-of-Sale Terminal Market encompass ened competitive pressures, a surge in mobile payment utilization, and considerable upfront investment requirements. 

The market for Point-of-Sale (POS) terminals has experienced significant growth recently, yet faces challenges that inhibit further expansion. Evolving consumer preferences towards digital payment platforms and mobile wallets have decreased reliance on traditional POS terminals, leading to ened competition from alternative payment solutions. The high costs associated with implementing POS terminals, encompassing hardware, software, and maintenance expenses, present a notable hurdle for small and medium-sized businesses (SMBs) considering adoption. Financial constraints impede their ability to invest in this technology, thereby constraining market growth. Data security concerns and the potential for cyberattacks further deter the uptake of POS terminals, particularly among e-commerce enterprises. Moreover, the COVID-19 pandemic has caused economic disruptions and negatively impacted the retail sector, thereby reducing demand for POS terminals.

Despite these obstacles, the POS terminal market can prosper by addressing these challenges. Industry stakeholders can concentrate on developing cost-effective and user-friendly solutions tailored to the requirements and budgets of SMBs. Prioritizing stringent security measures, educating businesses on the advantages of POS terminals, and delivering post-implementation support can help alleviate apprehensions surrounding data security. The market can also capitalize on the growing preference for contactless payments by incorporating features that align with shifting consumer behaviors. By surmounting these constraints, the POS terminal market can continue to grow, leveraging innovation and technology to facilitate seamless transactions for businesses and consumers alike.

Key Segments of the Point-of-Sale Terminal Market

Product Overview

• Fixed Point-of-Sale Terminal
• Hardware
• Software
• Services
• Mobile Point-of-Sale Terminal
• Hardware
• Software
• Services

Deployment Overview

• Cloud-based Point-of-Sale Terminal
• On-premise Point-of-Sale Terminal

End-use Overview

• Restaurants
• Retail
• Hospitality
• Healthcare
• Warehouse
• Entertainment
• Others

Regional Overview

North America

• US
• Canada
• Mexico

Europe

• Germany
• France
• UK
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• Rest of Asia Pacific

Middle East and Africa

• Saudi Arabia
• UAE
• Rest of Middle East and Africa

Latin America

• Brazil
• Argentina
• Rest of Latin America